The importance of providing French employees with a French version of the objectives on which their variable compensation is based

The French Labor Code is quite clear: any document containing obligations for employees or provisions that they need to know in order to perform their job must be written in French (article L. 1321-6 of the French Labor Code).

This applies to employment contracts, any amendments thereto and any document setting employees’ targets on which their variable remuneration is based.

In a recent decision, the French High Court ruled that if these documents are not drafted in French, they cannot be enforced against the employee and the employer must pay 100% of the bonus, even if the performance targets are not met.

However, the French Labor Code adds that “these provisions do not apply to documents received from abroad or intended for foreigners”.

But these exceptions mean that the employer must be able to prove that at least one of these 2 conditions is met in order to be able to validly enforce a document written in a foreign language against an employee working in France.

Given the uncertainty surrounding the validity of such evidence, it is preferable to check that:

  • The employee received a French version of his/her annual objectives.
  • Or that the employee is a foreign national and the documents were sent to him/her in his/her native language.
  • Or that the employer has the proof that the objectives were sent by the employee’s manager who determines the employee’s objectives and who is based abroad or by the parent company, which is located abroad.

In addition, the following arguments have been rejected by the French High Court:

  • The fact that proficiency in the foreign language, e.g. English, was required at the time of recruitment does not justify communicating objectives in English,
  • Same decision for an employee who speaks and writes English fluently,
  • Or if the employing company is part of an international Group and that English is the usual working language.

Nevertheless, the best option is always to provide a bilingual version of the document in order to avoid a litigation and the risk of an invalidation of the evidence(s) by the courts.

 

Should you require any assistance for fulfilling your obligations, please do not hesitate to contact us.

 

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